Symptoms
After you set up a KMS host for Microsoft Office 2016, and then you try to activate the Office 2016 volume-licensed client, you receive the following error message:
The Software Licensing Service determined that the specified Key Management Service (KMS) cannot be used.
Error Code 0xC004F074
Cause
The issue occurs when you cohost the Office 2013 KMS host and the Office 2016 KMS host on the same system, and that system is running either Windows 7 or Windows Server 2008 R2.
Resolution
To fix the issue, download and install the latest Microsoft Office 2016 Volume License Pack (16.0.4324.1002).